Fuji Seal International (7864) Q2 2027 earnings summary

Executive summary

• H1 FY2027 net sales rose 12.7% YoY to ¥123,211 million and operating profit rose 10.1% to ¥12,845 million; profit attributable to owners of parent declined 0.6% to ¥9,091 million.

• Excluding FX, sales increased 7.4% and operating profit increased 6.0%; full-year forecasts were unchanged.

Financial highlights

• Ordinary profit increased 8.1% YoY to ¥12,975 million; profit before income taxes was ¥12,857 million versus ¥11,854 million.

• Gross profit rose to ¥28,992 million from ¥25,010 million; SG&A increased to ¥16,146 million from ¥13,339 million.

• Operating margin was 10.4%, down 0.2 points YoY; net-profit margin declined 1.0 point to 7.4%.

• Operating cash flow was ¥7,536 million versus ¥12,128 million; period-end cash and cash equivalents were ¥41,483 million versus ¥35,939 million a year earlier.

Outlook and guidance

• FY2027 forecasts unchanged: net sales ¥228,600 million, operating profit ¥22,200 million, ordinary profit ¥22,400 million and profit attributable to owners of parent ¥15,300 million.

• Forecast parent-attributable profit is down 25.9% YoY; basic EPS is ¥286.82. Full-year sales and operating-profit progress reached 53.9% and 57.9%.

• Annual dividend forecast remains ¥87 per share, comprising ¥43 interim and ¥44 year-end; FY2030 targets are ¥350bn sales and a double-digit operating-profit margin.

• FY2026–27 priorities include margin improvement, portfolio management and investment in profitability.